Acompany is deciding whether to purchase production equipment that can produce units more quickly than the current equipment. which of the following costs would be relevant to itsdecision?
a.
the original purchase price of the current machinery
b.
the cost of raw materials
c.
the accumulative repairs costs of the current machinery over the years
d.
the additional labor required to run the new equipment
Answers: 3
Business, 22.06.2019 13:10, KillerSteamcar
A4-year project has an annual operating cash flow of $59,000. at the beginning of the project, $5,000 in net working capital was required, which will be recovered at the end of the project. the firm also spent $23,900 on equipment to start the project. this equipment will have a book value of $5,260 at the end of the project, but can be sold for $6,120. the tax rate is 35 percent. what is the year 4 cash flow?
Answers: 2
Acompany is deciding whether to purchase production equipment that can produce units more quickly th...
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